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representatives vote 2024-09-09#10
Edited by
mackay staff
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2024-10-05 18:19:18
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Title
Bills — Future Made in Australia Bill 2024; Consideration in Detail- Future Made in Australia Bill 2024 - Consideration in Detail - Consultation, additional community benefit principle & reporting requirements
Description
<p class="speaker">Helen Haines</p><p>by leave—I move amendments (1) to (5) as circulated in my name together:</p>-
- The majority voted in favour of [amendments](https://www.openaustralia.org.au/debate/?id=2024-09-09.116.1) introduced by Rankin MP [Jim Chalmers](https://theyvoteforyou.org.au/people/representatives/rankin/jim_chalmers) (Labor), which means they will now be part of the bill.
- ### What do the amendments do?
- Mr Chalmers [explained that](https://www.openaustralia.org.au/debate/?id=2024-09-09.116.1):
- > *The five amendments from the government that are before the House are largely about three things. Firstly, they make projects supported by the Future Made in Australia even more transparent. The companies delivering the support will have to publish the value of that and list their beneficiaries each year. Secondly, the amendments will make the sector assessments more rigorous. They will put in legislation the recommendation for Treasury to consult expert bodies when making these assessments, and this will help Treasury consider what impact or benefit individual industries will have on our net zero transformation. Thirdly, they clarify the importance of First Nations Australians participating in and sharing the benefits of our transition to net zero, with an extra community benefit principle ensuring the benefits of projects on those communities are always properly considered. We're also proposing a minor amendment to the omnibus bill to ensure that the Australian Renewable Energy Agency is considered a public authority of the Commonwealth.*
- ### Amendment texts
- > *(1) Clause 3, page 4 (after line 28), after subparagraph (c)(iii), insert:*
- >
- >> *(iiia) supporting First Nations communities and traditional owners to participate in, and share in the benefits of, the transition to net zero; and*
- >
- > *(2) Clause 8, page 10 (after line 22), at the end of subclause (6), add:*
- >
- >> *Note: The Commonwealth entities the Secretary may consult with for the purposes of paragraph (a) include (without limitation) the following:*
- >>
- >> *(a) the Australian Competition and Consumer Commission;*
- >>
- >> *(b) the Climate Change Authority;*
- >>
- >> *(c) the Commonwealth Scientific and Industrial Research Organisation;*
- >>
- >> *(d) Infrastructure Australia;*
- >>
- >> *(e) the Net Zero Economy Agency;*
- >>
- >> *(f) the Productivity Commission.*
- >
- > *(3) Clause 10, page 13 (after line 8), after subparagraph (3)(a)(iii), insert:*
- >
- >> *(iiia) supporting First Nations communities and traditional owners to participate in, and share in the benefits of, the transition to net zero; and*
- >
- > *(4) Page 14 (after line 3), after clause 11, insert:*
- >
- >> *11A Reporting on provision of Future Made in Australia support*
- >>
- >> *Reporting by Commonwealth entities*
- >>
- >>> *(1) The accountable authority of a Commonwealth entity must ensure that an annual report prepared under section 46 of the Public Governance, Performance and Accountability Act 2013 for a reporting period for the entity complies with subsection (3) of this section if the entity provides Future Made in Australia support (including on behalf of the Commonwealth) during the period.*
- >>
- >> *Reporting by Commonwealth companies*
- >>
- >>> *(2) The directors of a Commonwealth company must ensure that the documents given to the responsible Minister under section 97 of the Public Governance, Performance and Accountability Act 2013 for a reporting period for the company include a report that complies with subsection (3) of this section if the company provides Future Made in Australia support during the period.*
- >>
- >> *Content of report*
- >>
- >>> *(3) A report described in subsection (1) or (2) that relates to a Commonwealth entity or Commonwealth company must include:*
- >>>
- >>>> *(a) for each person to whom the entity or company provides or commits Future Made in Australia support during the reporting period:*
- >>>>
- >>>>> *(i) the name of the person; and*
- >>>>>
- >>>>> *(ii) the amount of support provided or committed in the reporting period; and*
- >>>>
- >>>> *(b) the amount of all Future Made in Australia support provided or committed by the entity or company in the reporting period.*
- >>
- >> *Definitions*
- >>
- >>> *(4) The following expressions have the same meaning when used in this section as they have in the Public Governance, Performance and Accountability Act 2013:*
- >>>
- >>>> *(a) accountable authority;*
- >>>>
- >>>> *(b) director;*
- >>>>
- >>>> *(c) reporting period.*
- >>>>
- >>>> *Note: See also the definitions of Commonwealth entity and Commonwealth company in section 5 of this Act.*
- >>
- >> *Application*
- >>
- >>> *(5) Subsections (1) and (2) apply in relation to a reporting period that ends on or after the commencement of this section.*
- >
- > *(5) Clause 12, page 14 (line 19), omit "Section 11 does", substitute "Sections 11 and 11A do".*
<p class="italic">(1) Clause 9, page 10 (after line 25), after subclause (1), insert:</p><p class="italic">(1A) The Minister must, as soon as practicable, cause a copy of the report to be given to the Parliamentary Joint Committee of Public Accounts and Audit.</p><p class="italic">(2) Clause 9, page 10 (line 27), omit "30", substitute "7".</p><p class="italic">(3) Clause 9, page 10 (line 29), omit "The Minister may", substitute "For the purposes of laying a copy of the report before a House as mentioned in subsection (2), the Minister may".</p><p class="italic">(4) Clause 14, page 15 (line 14), omit "The annual report", substitute "(1) The annual report".</p><p class="italic">(5) Clause 14, page 15 (after line 17), at the end of the clause, add:</p><p class="italic">(2) The report must include:</p><p class="italic">(a) the total amount of Future Made in Australia supports provided during the period; and</p><p class="italic">(b) for each of those supports, details of the following:</p><p class="italic">(i) the recipient of the support;</p><p class="italic">(ii) the purpose of the support;</p><p class="italic">(iii) the kind of support provided;</p><p class="italic">(iv) the amount of support provided;</p><p class="italic">(v) the amount of that support that was spent during the period.</p><p>I want to be clear. I support this bill's intention because I support measures to get to net zero emissions by 2050. We must focus on this goal if we are to have any hope at all of avoiding the worst impacts of climate change. The Future Made in Australia plan put forward by the government is an important pillar to reaching this goal by helping to unlock renewable energy resources and future-focused manufacturing. My community sent me here as their Independent to work towards strong action on climate change but they also sent me here to be a strong legislator, to be their champion for integrity in government decision-making and spending. While in principle I support the bill as a measure towards net zero, I have deep concerns about integrity when it comes to this program because we're talking about tens of billions of taxpayer dollars—$22.7 billion to be exact. In anyone's measure, that is an enormous amount of money.</p><p>Right now, the bill as drafted does not give the public a clear and timely line of sight on where their money is going. Instead, the government have only given a vague outline of how the money might be spent, and, when it comes to the fine print, the guardrails, the rigour, they say, 'That will come later; please trust us.' But without this fine print, without an oversight and transparency framework, there is a risk that money will be awarded to industries and companies without merit because of lobbying efforts, because it could win votes in certain electorates. With that concern comes an erosion of public confidence in the Future Made in Australia Bill itself. The government have not shown us they are putting integrity right up front when planning to spend this money.</p><p>In order to lead the nation through the momentous transformation to net zero, this government needs public trust above all else. And I'm not alone in raising these issues. The recent Senate inquiry into this bill uncovered the following from respected organisations and businesses. The Grattan Institute said that the bill doesn't currently have enough guardrails to prevent the risk of pork-barrelling. The Australian Chamber of Industry and Commerce specifically raised concerns about processes under the bill. They said there absolutely needs to be public confidence that the system is not being used for the wrong purposes.</p><p>The amendments I'm putting forward aim to address some of these concerns. They are simple and straightforward, yet they would give the public greater assurance about how their money is being spent. My amendments would, firstly, require the minister to give unredacted sector assessments to the parliamentary Joint Committee of Public Accounts and Audit so there is a fulsome parliamentary mechanism to ensure Future Made in Australia supports are given to sectors where it is appropriate to do so. Secondly, they would require sector assessments to be tabled in parliament within seven sitting days of the minister receiving that assessment. Currently the bill says '30 sitting days'. In practical terms this means that, if the minister were to receive a report on 2 December 2024, it would not be required to be tabled in this parliament until around 25 June 2025, some 127 business days after the minister has received it. In my view this is far too long for tabling a report in order to serve its transparency and accountability function.</p><p>Finally, my amendments would specify what should be included in a Future Made in Australia annual report. I acknowledge that the Treasurer intends to move a government amendment that goes to this point, and I'm grateful for that, but this amendment has less detail than my amendments. Again, it is not nearly enough to achieve its intended transparency objective. My amendment would require annual reports to specify the total amount of Future Made in Australia supports, the recipient of these supports, the purpose of the support, and the kind of support provided and the amount of support provided to and spent by that recipient. These transparency measures are missing from the government's proposed amendments.</p><p>As I said, these are simple amendments, and I thank the Treasurer and his office for engaging with me in the way that they have, but I must say I am disappointed that my amendments and those of my fellow crossbenchers, which all speak to this issue of transparency and accountability, have been responded to in a rather piecemeal fashion. If the Future Made in Australia plan is indeed going to seize the opportunities of the move to renewable energy, then the government has work to do to shore up taxpayer confidence and trust in its plans to spend $22.7 billion of the very same taxpayer money. I would argue that my amendments will help fix the holes in the government's current plan, and I urge the government to support my amendments.</p><p>Question negatived.</p> <p class="speaker">Jim Chalmers</p><p>I present a supplementary explanatory memorandum to this bill and the Future Made in Australia (Omnibus Amendments No. 1) Bill 2024. I seek leave to move government amendments (1) to (5), as circulated, together.</p><p>Leave granted.</p><p>I move:</p><p class="italic">(1) Clause 3, page 4 (after line 28), after subparagraph (c)(iii), insert:</p><p class="italic">(iiia) supporting First Nations communities and traditional owners to participate in, and share in the benefits of, the transition to net zero; and</p><p class="italic">(2) Clause 8, page 10 (after line 22), at the end of subclause (6), add:</p><p class="italic">Note: The Commonwealth entities the Secretary may consult with for the purposes of paragraph (a) include (without limitation) the following:</p><p class="italic">(a) the Australian Competition and Consumer Commission;</p><p class="italic">(b) the Climate Change Authority;</p><p class="italic">(c) the Commonwealth Scientific and Industrial Research Organisation;</p><p class="italic">(d) Infrastructure Australia;</p><p class="italic">(e) the Net Zero Economy Agency;</p><p class="italic">(f) the Productivity Commission.</p><p class="italic">(3) Clause 10, page 13 (after line 8), after subparagraph (3)(a)(iii), insert:</p><p class="italic">(iiia) supporting First Nations communities and traditional owners to participate in, and share in the benefits of, the transition to net zero; and</p><p class="italic">(4) Page 14 (after line 3), after clause 11, insert:</p><p class="italic">11A Reporting on provision of Future Made in Australia support</p><p class="italic"> <i>Reporting by Commonwealth entities</i></p><p class="italic">(1) The accountable authority of a Commonwealth entity must ensure that an annual report prepared under section 46 of the <i>Public Governance, Performance and Accountability Act 2013</i> for a reporting period for the entity complies with subsection (3) of this section if the entity provides Future Made in Australia support (including on behalf of the Commonwealth) during the period.</p><p class="italic"> <i>Reporting by Commonwealth companies</i></p><p class="italic">(2) The directors of a Commonwealth company must ensure that the documents given to the responsible Minister under section 97 of the <i>Public Governance, Performance and Accountability Act 2013</i> for a reporting period for the company include a report that complies with subsection (3) of this section if the company provides Future Made in Australia support during the period.</p><p class="italic"> <i>Content of report</i></p><p class="italic">(3) A report described in subsection (1) or (2) that relates to a Commonwealth entity or Commonwealth company must include:</p><p class="italic">(a) for each person to whom the entity or company provides or commits Future Made in Australia support during the reporting period:</p><p class="italic">(i) the name of the person; and</p><p class="italic">(ii) the amount of support provided or committed in the reporting period; and</p><p class="italic">(b) the amount of all Future Made in Australia support provided or committed by the entity or company in the reporting period.</p><p class="italic"> <i>Definitions</i></p><p class="italic">(4) The following expressions have the same meaning when used in this section as they have in the <i>Public Governance, Performance and Accountability Act 2013</i>:</p><p class="italic">(a) accountable authority;</p><p class="italic">(b) director;</p><p class="italic">(c) reporting period.</p><p class="italic">Note: See also the definitions of <i>Commonwealth entity</i> and <i>Commonwealth company</i> in section 5 of this Act.</p><p class="italic"> <i>Application</i></p><p class="italic">(5) Subsections (1) and (2) apply in relation to a reporting period that ends on or after the commencement of this section.</p><p class="italic">(5) Clause 12, page 14 (line 19), omit "Section 11 does", substitute "Sections 11 and 11A do".</p><p>I want to very genuinely thank the members of the crossbench for the way that they have engaged with us on the Future Made in Australia Bill 2024. That engagement has taken a number of forms, but I know that it is well motivated and I know that we share with the crossbench the objective to make sure that the Future Made in Australia Bill's supporter regime is transparent and rigorous and delivers maximum benefit for our community.</p><p>I'm also grateful that a number of crossbench colleagues have noted that what we've tried to do with these five government amendments is pick up as many of the good suggestions put forward by members of the crossbench as we can. Where that has not been possible—for example, in relation to the member for Calare's contribution a moment ago—it's because we think that the objectives which the amendments are written to serve are already possible under the Future Made in Australia regime that we are seeking to legislate.</p><p>The five amendments from the government that are before the House are largely about three things. Firstly, they make projects supported by the Future Made in Australia even more transparent. The companies delivering the support will have to publish the value of that and list their beneficiaries each year. Secondly, the amendments will make the sector assessments more rigorous. They will put in legislation the recommendation for Treasury to consult expert bodies when making these assessments, and this will help Treasury consider what impact or benefit individual industries will have on our net zero transformation. Thirdly, they clarify the importance of First Nations Australians participating in and sharing the benefits of our transition to net zero, with an extra community benefit principle ensuring the benefits of projects on those communities are always properly considered. We're also proposing a minor amendment to the omnibus bill to ensure that the Australian Renewable Energy Agency is considered a public authority of the Commonwealth.</p><p>These bills are all about helping to make Australia a renewable energy superpower, making sure that it's Australians who benefit from our transition to net zero. Making our future here in Australia is about making the most of our nation's potential and making sure everyone shares in the benefits. This legislation will help us maximise the economic and industrial benefits of international move to net zero, and secure Australia's place at the forefront of the changing global economic and strategic landscape.</p><p>I thank the crossbench for working closely and collaboratively with us on the amendments and on these bills. Their thoughtful and creative suggestions will strengthen the Future Made in Australia legislation, and I move these amendments in lieu of their constructive proposals. These two bills together are a major step in implementing the Albanese Labor government's Future Made in Australia agenda to deliver our country's next generation of prosperity, and that's why I commend the bills to the House.</p> <p class='motion-notice motion-notice-truncated'>Long debate text truncated.</p>-
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